SALT LAKE CITY (KUTV) — As Utah lawmakers prepare to revisit large-scale data center policy next month, another question has surfaced alongside concerns about water, traffic and growth: Who actually decides whether one of these projects gets built?
Community members recently raised that question during a public hearing in Tooele County, where county leaders were considering new rules for data centers.
“I feel like if we move forward with it we lose control of what comes into our county,” one resident said.
Another resident added, “I have deep concerns about water usage with this project if it does go through.”
According to BYU civil engineering professor Dr. Robert Sowby, there is no single person or agency responsible for approving a large-scale data center.
“I’m not aware of any instance where a single official is giving approval for these kinds of projects,” Sowby said.
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Sowby, who studies infrastructure and land development, said the approval process depends largely on where a project is proposed. Within city limits, cities generally lead the review process. Outside incorporated areas, counties, state agencies and, in some cases, the federal government may all have a role.
When asked how different levels of government interact on projects like large-scale data centers, Sowby said, “Yeah, I think that remains to be seen. We’re figuring that out.”
He said projects typically move through multiple layers of review, including zoning, planning commissions, engineering reviews, fire officials and elected leaders.
“There’s a whole team of people that are checking things along the way. So it’s not a single official that’s looking out for approvals,” Sowby said. “Politicians often have political or economic reasons to invite certain activities or businesses into their city, but they still have to follow that process that’s been set.”
Sowby said the rapid growth of artificial intelligence data centers is changing the conversation because the facilities are larger, require more resources and do not always fit within regulations originally written for traditional industrial development.
“I think we will have to be deliberate about that to classify these data centers and especially hyperscale AI data centers as a different kind of activity or entity than we’re used to,” Sowby said. “A lot of the existing policy captures them under kind of large industrial users like factories or, you know, other activities like that. But I think they’re distinct enough and impactful enough that they should be defined on their own. And states are moving in that direction.”
That is one reason Utah lawmakers recently voted to open a bill file that would define what constitutes a large-scale data center.
Rep. Paul Cutler said the issue is not that data centers are new, but that artificial intelligence has changed their size, impact and the policy questions surrounding them.
“This shift means we need to think about things differently,” Cutler said.
He added, “As these data centers get bigger, we need more guidelines and more help to help the local officials make a good decision on whether it’s appropriate for their community.”
Lawmakers are expected to review data center development during an Aug. 19 meeting, including current regulations and tax incentives.
“That will help us determine what needs to be changed or updated for this age of AI,” Cutler said.
Until then, some community members say they want decision-makers to proceed cautiously.
“I don’t feel like any tax benefits are worth losing that control,” one resident said.
Another added, “We could be the example for the entire country rather than be part of the big mess that’s going on.”
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